Corporations

A corporation is a separate legal entity that has been incorporated either directly through legislation or through a registration process established by law. Once incorporated, entities have legal rights and liabilities and may conduct business as either a profit-seeking business or not-for-profit business.

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A corporation is a business entity that is separate and independent of its owners. The owners, or stockholders, elect a board of directors who manage the corporation. The board of directors is responsible for appointing the officers who run the corporation's daily business. There are different types of corporations such as the Subchapter C corporation, ("C corporation"), the Subchapter S corporation, ("S corporation"), and the personal services corporation. Not all states recognize the various types of corporations. For tax purposes, the IRS treats all corporations as either C corporations or S corporations. Read more

A shareholder agreement is an agreement by the shareholders of a company that covers several issues, such as how shareholders can buy-in or buy-out of the company, voting rights, how disputes will be resolved, how the company will be managed, the proposed nature of the business, the nature and amount of initial contribution, future contributions, and how key roles and responsibilities are decided and maintained. Key Elements of a Shareholder AgreementThere are key elements or issues that should be addressed in a shareholder agreement. Read more